CCL Stock Email

[Rirruto]

Excuse my ignorance but I got an email from my online broker regarding my CCL stock containing this message and don't understand the meaning/purpose:

 

Description: CARNIVAL CORP ORD (PANAMA)

The above-listed stock is part of a non-mandatory reorganization or tender offer, which currently expires on 01/13/2014.

 

Where to find more information:

 

For offers initiated by the company, information can often be found on the company's website.

If the offer was initiated by a third party, additional information can be obtained by contacting your local Scottrade team.

For mini-tender offers, the US Securities and Exchange Commission has urged caution. To review an SEC educational piece entitled "Mini-Tender Offers: Tips for Investors," go to http://www.sec.gov/investor/pubs/minitend.htm.

 

If you choose to accept this offer, please inform your local Scottrade team no later than 10 a.m. ET on the expiration date; a $25 fee will be charged to your account. These shares must then remain in your account until the reorg/tender occurs (be advised that expiration dates are often extended and terms are subject to change).

 

Scottrade is not endorsing or recommending this offer, and the terms have not been reviewed to determine if participation would be in your best interest. If you do not wish to accept this offer, no action is required.

Can anyone explain what this means in layman's terms?

[CoconutJD]

This might help: http://www.ehow.com/facts_7302915_non_mandatory-reorganization-tender-stock-offer_.html

[spunkie4]

we received the same email from Scotttrade.

 

Wonder what the price per share is? we have recovered our initial investment in OBC.

 

Shirley

[newcruiser08820]

Someone please explain in plain English what to do or do nothing?

[CoconutJD]

Someone please explain in plain English what to do or do nothing?

You can sell your stock at the price they are offering, or hold onto it. If you want to keep it, you don't need to do anything.

[bflohr]

Typically they make these offers to people that have less than 100 shares of a stock. Any time I have been offered, the tender price was about the same as what the stock would sell for on the stock market.

 

Basically they are making you an offer for your stock. If its a good price you can chose to sell your stock to them at the tender price. If you ignore it, nothing happens.

[winddawn]

The tender offer is being made by TRC Capital, a third party that isn't affiliated with Carnival. They are offering $33.75 per share which isn't advantageous for most people because the stock is currently trading for over $36 a share.

 

I received the offer too. It isn't just being sent to people who have less than 100 shares. I don't know where that information came from.

 

TRC Capital has a history of tender offers for stocks that pay a dividend.

[cccer]

[i received the offer too. It isn't just being sent to people who have less than 100 shares. I don't know where that information came from.

 

quote]

 

I agree, I have over 100 shares and got the email today also.

[CoconutJD]

I found this interesting article. It's two years old, but it seems relevant, as they're offering below market price.

http://www.investingdaily.com/14213/trc-capital-and-the-mini-tender-menace/

[girlscruise2011]

The tender offer is being made by TRC Capital, a third party that isn't affiliated with Carnival. They are offering $33.75 per share which isn't advantageous for most people because the stock is currently trading for over $36 a share.

 

I received the offer too. It isn't just being sent to people who have less than 100 shares. I don't know where that information came from.

 

TRC Capital has a history of tender offers for stocks that pay a dividend.

 

I received the email and did a google search and couldn't find anything. $33.75 per share definately isn't worth it. I'd rather hold on to my stock for the OBCs.

 

thanks for the info. I'll just ignore the email and hold onto my shares.